Congress has given U.S. Customs a list of five Priority Trade Issues and is monitoring Customs to see how well they target these priority issues. One of the biggest areas of focus involves Trade Remedy Laws including anti-dumping and countervailing duties. In FY 2015 Customs initiated 62 investigations and recovered over $29 million in ADD/CVD duties and levied over $60 million in penalties to U.S. importers. Customs is moving to make FY 2016 even more successful in the pursuit of unpaid ADD/CVD duties and penalties so importers must beware.
Here are some facts:
- ADD and CVD duty rates can exceed 300% of the value of imported products.
- Over 120 different imported commodities may be subject to ADD and/or CVD duties.
- The proper HTS classification of a product is critical to help determine whether or not ADD/CVD duties apply.
- Rates can vary greatly between various manufacturers.
- The rules are very complex and it is difficult to get firm answers from U.S. Customs or the Department of Commerce.
- Customs can go back five years to investigate and issue duty and penalty assessments.
- Ignorance of the law is no excuse.
This link is to an article published by Avalon Risk Management, a bond company that issues Customs bonds for U.S. importers and has a lot of good information.
As always, please feel free to contact us for further information or assistance. Email firstname.lastname@example.org.
- Posted by tradelogic
- On April 8, 2016
- 0 Comments